TELLING THE GUARD STORY THROUGH CFO COMPLIANCE.

When the Army became a pilot agency for implementing the Chief Financial Officers' Act of 1990, the Army--a major component--was required to submit an Annual Financial Report. The Army's submission covered the collective activities of the Active Army, US Army Reserve, and the Army National Guard.

The CFO Act requires reports of performance measured against established objectives, but each component of the Army has a different level of achievement towards a common goal, and each component has established additional goals of its own. As a result, while the Army publication served the useful purpose of reporting on the Army as a whole, stewardship of separate funds appropriated for the Army National Guard (ARNG) was not readily visible.

Why the ARNG Prepares an Annual Financial Report

At the beginning of fiscal year (FY) 1998, the ARNG leadership asked an important question: Can we develop a report consistent with the CFO Act which supports the Army's report and also

* highlights the ARNG efforts at state and national levels,

* tells the ARNG story, much like a major corporation reports to its stockholders, and

* presents the report in a way that takes advantage of today's technology?

In an effort to demonstrate how funds appropriated specifically for the ARNG have been utilized against the goals and objectives of the ARNG, EER Systems Inc. of Chantilly, Virginia, was selected to assist the ARNG with publication of its Annual Financial Report for FY 1998. The success of that effort led to publication of the just-released ARNG FY 1999 Annual Financial Report.

In compliance with the CFO Act, the ARNG FY 1999 Annual Report not only supports the Army's Annual Report, but also reports on the application of funds provided to the ARNG while telling the Guard story to a wide range of interested customers.

Why This Report Is Different

The Guard's approach to this annual report is unique. The visually attractive package provides concise yet detailed information and is designed to appeal to a broad-based organization spanning all fifty states, three territories, and the District of Columbia.

The final product consists of a print version, a CD-ROM version enclosed with each published version, and an electronic version developed especially for the ARNG Web site.

The Print Version-- Creating a Report People Will Read

The print version is approximately 75 pages in length. It presents the vision of the Army Guard, provides an overview of the ARNG for those not readily familiar with the Guard organization, reviews readiness and training activities during the year, measures performance of and progress towards established objectives, offers financial highlights, and-- of course--submits financial statements for the fiscal year. All of these elements are considered key towards compliance with the CFO Act and related legislation.

High quality graphics and photos support the text and complement the primed report, the intent of which is to provide a succinct, overall picture of the ARNG. Supplemental information is provided in the Web and CD-ROM versions in order to keep the size of the printed version to a readable level.

CD-ROM Version--Taking Advantage of Technology

A CD-ROM is enclosed with each printed copy of the report. It contains all of the published material, as well as additional, detailed information of specific areas that are presented only in summary in the print version.

For example, a paragraph in the "Operations of the ARNG" section of the publication depicts the ARNG's involvement at the Joint Readiness Training Center (JRTC). In the CD-ROM version, a "mouse click" allows the viewer to retrieve more in-depth details that relate to specific units and contain expanded discussion of the Guard's participation. If included in the published version, this section alone would require 27 additional pages of text.

The highlight of the CD-ROM version is the manner in which information is presented for the states and territories. Discussion of how appropriated funds are used on an individual basis could be voluminous; adding only two pages for each entity would increase the publication by over 100 additional pages.

Taking advantage of state-of-the-art technology solved this challenge. While the printed version contains summary paragraphs of key activities for each entity of the Guard in a format similar to that found in the state section of USA Today[R], the CD-ROM version has "hot" paragraphs which are HTML-linked to activate the default browser of the user.

The entire Web-based and CD-ROM versions of the report are contained on one CD-ROM. By clicking a particular state section, the user is presented with two additional pages of information related to that state. One page contains training and operational information; the other is entirely financial and shows how each respective United States Property and Fiscal Officer (USPFO) utilized the federal funds received to enhance the readiness of the ARNG. Additionally, each state page is linked to its own homepage, so the user can delve further into information about the Guard's operations in that state.

Other useful links scattered throughout the report allow the user to connect with such sites as the Assistant Secretary of the Army (Financial Management and Comptroller) and National Guard Bureau homepages, or the congressional reference site, Thomas. The user is able to achieve simultaneous maneuvering between the CD-ROM and the Internet with a mere click of the mouse. To facilitate this feature, Adobe Acrobat Reader 4.0 is included on the CD-ROM and can be installed with a click.

The Electronic Version--Reaching the World

The electronic version is prepared so that the ARNG's homepage can be loaded quickly and immediately. Graphics are consistent with the organization's homepage theme and the quick-loading feature reduces the "hour glass" time common to many sites laden with heavy graphics.

One positive feature of the Web-based version is that a user can provide immediate feedback via email to the ARNG point of contact for each and every section. Another feature is the download capability. This enables a user to obtain a high quality hard copy of the report by section, rather than having a screen capture of the Web version.

The entire electronic version was designed for ease of use and minimal load time. The footprint of the graphics is reduced to a minimum for quick loading on any setup, with a Pentium 1 considered to be at the low end.

Distribution--Getting the News Out While It's Current

To ensure timely distribution of the report, a completion date of mid-February was established. "Completion" was defined as distribution by mail to a predetermined list that included the published version with its CD-ROM, and a cover letter from the Director of the Army National Guard presenting the report. The electronic version was made available for viewing on the Army Guard's homepage at the same time.

Timing was deemed critical to ensure those interested in the past performance of the ARNG would have information as quickly as possible after the end of fiscal year. Close coordination of the input and timing, in cooperation with Army staff and with publication of the Army Annual Financial Report, ensured consistency with the "one Army" concept.

The ARNG believes this report enhances the level of integration with the Active Component and demonstrates the Guard's careful stewardship of the funds entrusted to it. It ties closely to the Army's Annual Report, yet allows the ARNG to account for appropriated funds provided directly to them and used throughout the states and territories to improve the readiness and effectiveness of the Guard.

Russ Delaney, a retired Army Colonel, is a project manager with EER Systems Inc. in Chantilly, VA. He has over 35 years of comptroller experience serving in finance, accounting, and budget. He was the ARNG Comptroller from 1988-93. He holds an undergraduate degree in Accounting and a masters degree in Management.